FMCG major Britannia Industries today said it has entered into a joint venture with Greek firm Chipita SA for producing and selling ready-to-eat croissants in India. The estimated investment in the joint venture company — Britchip Foods Ltd — in Phase I is Rs 100 crore. “The company has signed a joint venture agreement with Chipita SA, a Greek company for the purpose of developing, producing and selling ready-to-eat croissants and any other product as may be agreed between the parties through a joint venture company, Britchip Foods Ltd,” the FMCG major said in a BSE filing.

As per the agreement, Britannia Industries will hold 60 per cent of total share capital of the joint venture company, while Chipita SA would hold the rest. Both the parties will have the right to appoint the Directors in their agreed equity proportion. The board of the JV will have a minimum of five and maximum of ten members, the filing said.

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As per the JV agreement, Britannia has the right of first refusal in case Chipita intends to sell its stake after the expiry of lock in period of ten years. The parties will also enter into ancillary agreements such as technology license, brand license, support service and distribution pacts, the filing said. Shares of Britannia Industries closed 1.33 per cent higher at Rs 3345.00 on BSE.